Hi ,
I can reproduce this in a new project. Here’s what I did to produce the scene below, which mimics the first image in the OP (albeit with the default level in the background):
- Create a new project via the editor launcher (I’m running v4.17.1). For expediency, I chose a blank Blueprint project with default settings (Desktop/Max quality/With Starter Content).
- Check Edit → Project Settings → Rendering → Lighting → Generate Mesh Distance Fields.
- Restart the editor.
- Once Mesh DFs are all generated, drag a cube mesh and a plane mesh into the level from the Modes → Place → Basic menu.
- Open the plane mesh in the Static Mesh editor and set LOD Sections (LOD0) → Build Settings → Distance Field Resolution Scale to 2.0 (if left at 1, this plane doesn’t generate a visible DF at all). You can also set it higher - the issue still occurs.
- Show → Visualize → Mesh DistanceFields.
Hope this helps. Please let me know if there’s any more information you need.